<div class="phx-topic abstract-wrapper">China's economists are becoming more optimistic about their country's economic recovery. 
 
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China's economists are becoming more optimistic about their country's economic recovery.

<div>China's economists are becoming more optimistic about their country's economic recovery. The latest survey of dozens of Chinese economists released by the government-run China Economic Monitoring &amp; Analysis Center showed that the confidence index among economists in the first quarter this year is 3.97 points, up 0.16 from the fourth quarter and up 1.54 points compared with the third quarter of 2008.The survey respondents said foreign demand for Chinese commodities will continue to decline. Seventy seven percent of economists believe that export volume over the next six months will slow down and 80 percent of them believed the Chinese trade...

China's economists are becoming more optimistic about their country's economic recovery. The latest survey of dozens of Chinese economists released by the government-run China Economic Monitoring & Analysis Center showed that the confidence index among economists in the first quarter this year is 3.97 points, up 0.16 from the fourth quarter and up 1.54 points compared with the third quarter of 2008. The survey respondents said foreign demand for Chinese commodities will continue to decline. Seventy seven percent of economists believe that export volume over the next six months will slow down and 80 percent of them believed the Chinese trade surplus is about to decrease. However, investment and credit in China will continue to grow rapidly, the economists said. Total investment in fixed assets in the first quarter this year has already grown by 28.8 percent. Thirty four percent of economists believe that the global financial crisis will continue to deteriorate. Another 32 percent believe the global economy will neither improve nor deteriorate. Over 60 percent of economists believe that the world economy will bottom out at the end of 2010 and then recover. Only 37 percent believe that the global economy will not rebound until the end of 2011. Only three percent of Chinese economists believe the world economy will recover within this year. Contact Alan Field at afield@joc.com .

Transport, Trade and Regulation News

Optimism Grows Among Chinese Economists

<div class="phx-topic abstract-wrapper">Highlighting the carrier's Asia focus and volume growth potential, PIL said it will take delivery of at least two 13,064-TEU container ships this year that could be deployed on long-haul Asia-South America and Asia-Middle East services.</div>

Highlighting the carrier's Asia focus and volume growth potential, PIL said it will take delivery of at least two 13,064-TEU container ships this year that could be deployed on long-haul Asia-South America and Asia-Middle East services.

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<div class="phx-topic">Singapore’s Pacific International Lines (PIL) says it’s set to see further growth in container volumes from new vessel deliveries and service launches this year despite difficult market conditions. ”While the year ahead remains challenging amid geopolitical tensions, supply chain disruption and new capacity entering the market, Asia continues to be a key engine of global trade growth,” PIL CEO Lars Kastrup said in an earnings statement Wednesday. Highlighting the carrier’s Asia focus and volume growth potential, PIL said it will take delivery of at least two 13,064-TEU container ships this year, part of an order for five 13,000-TEU ships placed in 2024. The ships, which could be deployed on long-haul Asia-South America and Asia-Middle East services, are part of a fleet expansion that will add 20 vessels totaling 232,000 TEUs in the next three years that will increase PIL’s fleet capacity to more than 700,000 TEUs. The carrier, ranked 12th-largest globally by capacity, according to Alphaliner, will also expand its network next month with the planned launch from May 28 of an Asia-southern Africa express service in association with Taiwan's Evergreen Marine. The carriers will deploy a total of nine ships varying in size between 4,800 to 5,600 TEU on what PIL calls its Ubuntu Express (UBX) service. "The Ubuntu Express is introduced in response to growing trade demand between Asia and South Africa, driven by rising consumer markets, expanding industrial activity, and increasing flows of agricultural, temperature‑sensitive and manufactured goods," PIL said in a separate service announcement this week. The move also increases the number of PIL's Asia-Africa services to seven. The full rotation of the new service is Shanghai, Ningbo, Kaohsiung, Shekou, Singapore, Durban, Cape Town, Singapore, Shanghai. <h3>Volumes climbed 17% last year </h3>PIL, meanwhile, said its container volumes last year climbed 17% to 2.6 million TEUs after it strengthened its network in 14 countries, including new intra-Asia and South America services, while adding six ships to its fleet ranging in size from 8,000 to 13,000 TEUs. Overall, group revenue slipped 1% to $4.3 billion last year while net profit fell 23% to $1 billion. PIL’s container shipping division saw earnings before interest, tax, depreciation and amortization ease to $1.5 billion last year from almost $1.7 billion the prior year, while revenue was flat at around $3.8 billion. “While cost pressures and freight rate moderation weighed on margins compared with the rate levels recorded in 2024, the business continued to generate healthy earnings,” the carrier said. PIL does not report quarterly earnings. <a href="mailto:keithwallis@hotmail.com">Contact Keith Wallis at keithwallis@hotmail.com.</a></div>

Singapore’s Pacific International Lines (PIL) says it’s set to see further growth in container volumes from new vessel deliveries and service launches this year despite difficult market conditions. ”While the year ahead remains challenging amid geopolitical tensions, supply chain disruption and new capacity entering the market, Asia continues to be a key engine of global trade growth,” PIL CEO Lars Kastrup said in an earnings statement Wednesday. Highlighting the carrier’s Asia focus and volume growth potential, PIL said it will take delivery of at least two 13,064-TEU container ships this year, part of an order for five 13,000-TEU ships placed in 2024. The ships, which could be deployed on long-haul Asia-South America and Asia-Middle East services, are part of a fleet expansion that will add 20 vessels totaling 232,000 TEUs in the next three years that will increase PIL’s fleet capacity to more than 700,000 TEUs. The carrier, ranked 12th-largest globally by capacity, according to Alphaliner, will also expand its network next month with the planned launch from May 28 of an Asia-southern Africa express service in association with Taiwan's Evergreen Marine. The carriers will deploy a total of nine ships varying in size between 4,800 to 5,600 TEU on what PIL calls its Ubuntu Express (UBX) service. "The Ubuntu Express is introduced in response to growing trade demand between Asia and South Africa, driven by rising consumer markets, expanding industrial activity, and increasing flows of agricultural, temperature‑sensitive and manufactured goods," PIL said in a separate service announcement this week. The move also increases the number of PIL's Asia-Africa services to seven. The full rotation of the new service is Shanghai, Ningbo, Kaohsiung, Shekou, Singapore, Durban, Cape Town, Singapore, Shanghai. Volumes climbed 17% last year PIL, meanwhile, said its container volumes last year climbed 17% to 2.6 million TEUs after it strengthened its network in 14 countries, including new intra-Asia and South America services, while adding six ships to its fleet ranging in size from 8,000 to 13,000 TEUs. Overall, group revenue slipped 1% to $4.3 billion last year while net profit fell 23% to $1 billion. PIL’s container shipping division saw earnings before interest, tax, depreciation and amortization ease to $1.5 billion last year from almost $1.7 billion the prior year, while revenue was flat at around $3.8 billion. “While cost pressures and freight rate moderation weighed on margins compared with the rate levels recorded in 2024, the business continued to generate healthy earnings,” the carrier said. PIL does not report quarterly earnings. Contact Keith Wallis at keithwallis@hotmail.com.

Container lines

Container Shipping News

Maritime

Singapore's PIL bets on volume growth from vessel deliveries, new services

<div class="phx-topic abstract-wrapper">The ruling ends a six-year saga during which the Federal Maritime Commission had to decide whether it was a prerequisite that a port be open in order for detention or demurrage fees to be levied.</div>

The ruling ends a six-year saga during which the Federal Maritime Commission had to decide whether it was a prerequisite that a port be open in order for detention or demurrage fees to be levied.

<div class="phx-topic">The US Court of Appeals in Washington, D.C. has ruled that Evergreen Marine improperly charged three days of detention fees to a drayage provider in Savannah six years ago when the port was closed over a holiday weekend. The ruling, announced Tuesday, ends a long process during which the US Federal Maritime Commission (FMC) had to decide whether it was a prerequisite that a port be open in order for detention or demurrage fees to be levied. “Evergreen suffered no costs as a result of the delayed equipment return,” wrote Judge Harry T. Edwards in the ruling. “These uncontested facts gave the [FMC] adequate grounds to decide that charging detention during the port closure would not have promoted freight fluidity and thus was unreasonable.” The case involved <a href="https://www.joc.com/article/fmc-upholds-ruling-against-evergreen-in-may-2020-detention-case-5224421">Yamaha Motor Company and its drayage partner TCW Inc.</a> during the early days of the pandemic in May 2020. Yamaha, like many businesses, closed its doors in the spring of 2020 during the COVID-19 lockdowns. However, Yamaha had an empty Evergreen container at its plant in Newnan, Ga., when it was shut down. Evergreen granted Yamaha a total of 21 free days on the container, but it was out for 28 days; Evergreen billed Yamaha $1,490 for seven days of detention. TCW said when it tried to return the container to the Port of Savannah, it learned the port was closed Saturday, Sunday, and Monday for Memorial Day. TCW returned the container on Tuesday, but filed a complaint to the FMC that the charges for the three-day holiday weekend were unreasonable because it cannot be incentivized to return equipment if the port is closed. TCW, as Yamaha’s drayage provider, paid Evergreen $980 of the total invoice, but disputed the remaining $510 owed covering May 23-25, 2020. Evergreen countered that the detention fees incentivized TCW to return the containers, so the entire bill was appropriate. The FMC ruled in favor of TCW, but then Evergreen appealed the decision to the US Court of Appeals. In July 2024, the court sided with Evergreen and ordered the FMC to reconsider the case to “analyze the incentive effect of the detention charges at issue.” <h3>Evergreen never disputed TCW’s lack of access to Yamaha plant </h3>In February 2025, the FMC ruled once again that the Evergreen decision was unreasonable, and again Evergreen appealed to the US Court of Appeals. That time, however, the court ruled that the FMC did its job correctly and upheld the ruling. The judge in Tuesday’s ruling said Evergreen never disputed that TCW could not access the empty container while Yamaha’s plant was closed during the lockdown. “Evergreen concedes that it was physically impossible for TCW to have brought the equipment, retrieved from Yamaha’s facility as soon as it was available on May 23, through the port’s gates from May 23-25,” Edwards wrote. “What was happening behind the closed gates is of no moment here because TCW simply could not go through the gates.” Contact Ari Ashe at <a href="mailto:ari.ashe@spglobal.com">ari.ashe@spglobal.com</a>. </div>

The US Court of Appeals in Washington, D.C. has ruled that Evergreen Marine improperly charged three days of detention fees to a drayage provider in Savannah six years ago when the port was closed over a holiday weekend. The ruling, announced Tuesday, ends a long process during which the US Federal Maritime Commission (FMC) had to decide whether it was a prerequisite that a port be open in order for detention or demurrage fees to be levied. “Evergreen suffered no costs as a result of the delayed equipment return,” wrote Judge Harry T. Edwards in the ruling. “These uncontested facts gave the [FMC] adequate grounds to decide that charging detention during the port closure would not have promoted freight fluidity and thus was unreasonable.” The case involved Yamaha Motor Company and its drayage partner TCW Inc. during the early days of the pandemic in May 2020. Yamaha, like many businesses, closed its doors in the spring of 2020 during the COVID-19 lockdowns. However, Yamaha had an empty Evergreen container at its plant in Newnan, Ga., when it was shut down. Evergreen granted Yamaha a total of 21 free days on the container, but it was out for 28 days; Evergreen billed Yamaha $1,490 for seven days of detention. TCW said when it tried to return the container to the Port of Savannah, it learned the port was closed Saturday, Sunday, and Monday for Memorial Day. TCW returned the container on Tuesday, but filed a complaint to the FMC that the charges for the three-day holiday weekend were unreasonable because it cannot be incentivized to return equipment if the port is closed. TCW, as Yamaha’s drayage provider, paid Evergreen $980 of the total invoice, but disputed the remaining $510 owed covering May 23-25, 2020. Evergreen countered that the detention fees incentivized TCW to return the containers, so the entire bill was appropriate. The FMC ruled in favor of TCW, but then Evergreen appealed the decision to the US Court of Appeals. In July 2024, the court sided with Evergreen and ordered the FMC to reconsider the case to “analyze the incentive effect of the detention charges at issue.” Evergreen never disputed TCW’s lack of access to Yamaha plant In February 2025, the FMC ruled once again that the Evergreen decision was unreasonable, and again Evergreen appealed to the US Court of Appeals. That time, however, the court ruled that the FMC did its job correctly and upheld the ruling. The judge in Tuesday’s ruling said Evergreen never disputed that TCW could not access the empty container while Yamaha’s plant was closed during the lockdown. “Evergreen concedes that it was physically impossible for TCW to have brought the equipment, retrieved from Yamaha’s facility as soon as it was available on May 23, through the port’s gates from May 23-25,” Edwards wrote. “What was happening behind the closed gates is of no moment here because TCW simply could not go through the gates.” Contact Ari Ashe at ari.ashe@spglobal.com .

Port News

Drayage

North American ports

Appeals court rules against Evergreen in Savannah detention fee case

<div class="phx-topic abstract-wrapper">The move comes at a delicate moment — months before dockworker negotiations are set to begin on Canada’s West Coast in November ahead of the expiration of the current contract next March.</div>

The move comes at a delicate moment — months before dockworker negotiations are set to begin on Canada’s West Coast in November ahead of the expiration of the current contract next March.

<div class="phx-topic">The government of Canadian Prime Minister Mark Carney, emboldened by a newly achieved parliamentary majority and with a mandate to diversify exports, is seeking landmark changes to the country’s labor relations law to reduce disruption at seaports and other transport modes. A formal consultation announced on April 17, the first formal review of World War II-era labor relations law in decades, has “traction” in Ottawa, according to one source. It comes at a delicate moment — months before longshore labor negotiations are set to begin on Canada’s West Coast in November ahead of the expiration of the current contract on March 31, 2027. Any changes to labor law would require the approval of Canada’s Parliament. A 13-day Canadian West Coast <a href="https://www.joc.com/article/ilwu-canada-contract-ratification-ensures-bc-port-peace-5220992">work stoppage in 2023</a> and a 10-day strike followed by a <a href="https://www.joc.com/article/bc-container-ports-set-for-shutdown-after-foremen-begin-strike-5785499">lockout of dockworkers by employers in late 2024</a> were the longest port disruptions seen on the Canadian West Coast since the early 1990s. It sparked a defection of both US- and Canada-bound containerized cargo to US ports that has not returned, a source told the Journal of Commerce. The 2023 strike prompted an inquiry and resulting <a href="https://www.canada.ca/en/employment-social-development/programs/labour-relations/reports/industrial-inquiry-commission-longshoring-west-coast-ports.html#9.3">recommendations</a> by Canada labor relations guru Vincent Ready last year that will now be formally considered by the Liberal government in Ottawa, which with a newly secured majority can enact legislation. ”We simply cannot afford the risk of a shutdown in critical supply chains anymore,” Canada’s Transport Minister Steve MacKinnon <a href="https://www.youtube.com/watch?v=on9x93BO9-Y">said in a speech in March</a>. “We can’t afford a reputation as an unpredictable place to do business.” Sources are cautious about predicting the possibility of disruption at Vancouver and Prince Rupert this fall or early next year tied to the coming negotiations. Some say cooler heads have prevailed since the 2024 lockout, but acknowledge that labor negotiations are inherently unpredictable. Others are skeptical about the talk of cooler heads. “The parties are the same, the issues are the same, and nothing has changed (since the Ready report), so we are very concerned,” said Bruce Rogers, executive director of CIFFA, the group representing Canadian forwarders. “For Canada, we have gone through these issues too often. The threat or hint of labor disruption is going to lead to cargo being diverted and that is problematic for us in Canada.” <h3>’Growing desire...to bring stability’ </h3>Among the recommendations in the report authored by Ready and Amanda Rogers, both labor arbitrators, are preserving the right to strike or lock out workers, but at the same time strengthening the role of mediators and formalizing a British Columbia-wide labor bargaining unit, all with the goal of creating greater supply chain certainty following years of disruption of transport networks. In 2024, Canada’s transportation and warehousing sector experienced the greatest number of “person days not worked” due to work stoppages since 1966, according to a <a href="https://www.railcan.ca/wp-content/uploads/2025/05/RAC-Work-Stoppages-Report-2025-EN3-1.pdf">report</a> by the Railway Association of Canada. The report noted that Canada has consistently ranked as one of the countries with the highest number of days lost to work stoppages relative to employment levels, according to the OECD. “There is growing desire in Ottawa to bring stability and see both sides (in the longshore arena) bring differences to closure quicker and with less impact on the GDP,” said a knowledgeable observer of the port sector. The backdrop is a radical course correction led by Carney to reduce dependence on US trade. In response to multiple waves of tariffs imposed on Canada by the Trump administration, Carney set a goal of doubling Canadian exports to countries other than the US within the next decade. The US <a href="https://international.canada.ca/en/global-affairs/corporate/reports/chief-economist/monthly/2025-12">share</a> of Canadian goods exports fell 4.2 percentage points to 71.7% last year compared to 2024, the lowest share since the early 1980s, according to government statistics. That pivot is the backdrop to other key recent developments, including the <a href="https://www.joc.com/article/dp-world-to-build-big-ship-container-terminal-in-montreal-6077326">Contrecoeur container terminal moving forward</a> outside Montreal after years of being stalled, and <a href="https://www.joc.com/article/gct-vancouver-port-to-jointly-study-roberts-bank-terminal-project-6207642">a deal announced last week</a> by Global Container Terminals (GCT) and the Vancouver Fraser Port Authority (VFPA) to explore joint development and operation of Roberts Bank Terminal 2, a major potential port expansion. And just days ago, <a href="https://www.joc.com/article/customs-designation-triggers-qsl-terminal-project-in-quebec-city-6209525">plans were revealed</a> for a 200,000-TEU container terminal along the St. Lawrence in Quebec City. The need to ensure supply chain stability to facilitate the pivot away from US dependence has emerged as a national priority for Canada. Maritime employers are aligning themselves with that priority, which is reflected in the labor law consultation, as they head into negotiations with the Canadian division of the International Longshore and Warehouse Union (ILWU) this fall. “When waterfront operations are predictable and reliable, the entire supply chain benefits, from workers and employers to Canadian businesses and global trading partners,” Eric Waltz, GCT president and chair of the British Columbia Maritime Employers Association board, <a href="https://www.bcmaritime.com/bcmea-2025-annual-report-highlights-measured-growth-action-needed-to-protect-port-stability-and-sustain-benefits-for-workers-and-canadians/">said in a statement</a>. Contact Peter Tirschwell at <a href="mailto:peter.tirschwell@spglobal.com">peter.tirschwell@spglobal.com</a>. </div>

The government of Canadian Prime Minister Mark Carney, emboldened by a newly achieved parliamentary majority and with a mandate to diversify exports, is seeking landmark changes to the country’s labor relations law to reduce disruption at seaports and other transport modes. A formal consultation announced on April 17, the first formal review of World War II-era labor relations law in decades, has “traction” in Ottawa, according to one source. It comes at a delicate moment — months before longshore labor negotiations are set to begin on Canada’s West Coast in November ahead of the expiration of the current contract on March 31, 2027. Any changes to labor law would require the approval of Canada’s Parliament. A 13-day Canadian West Coast work stoppage in 2023 and a 10-day strike followed by a lockout of dockworkers by employers in late 2024 were the longest port disruptions seen on the Canadian West Coast since the early 1990s. It sparked a defection of both US- and Canada-bound containerized cargo to US ports that has not returned, a source told the Journal of Commerce. The 2023 strike prompted an inquiry and resulting recommendations by Canada labor relations guru Vincent Ready last year that will now be formally considered by the Liberal government in Ottawa, which with a newly secured majority can enact legislation. ”We simply cannot afford the risk of a shutdown in critical supply chains anymore,” Canada’s Transport Minister Steve MacKinnon said in a speech in March . “We can’t afford a reputation as an unpredictable place to do business.” Sources are cautious about predicting the possibility of disruption at Vancouver and Prince Rupert this fall or early next year tied to the coming negotiations. Some say cooler heads have prevailed since the 2024 lockout, but acknowledge that labor negotiations are inherently unpredictable. Others are skeptical about the talk of cooler heads. “The parties are the same, the issues are the same, and nothing has changed (since the Ready report), so we are very concerned,” said Bruce Rogers, executive director of CIFFA, the group representing Canadian forwarders. “For Canada, we have gone through these issues too often. The threat or hint of labor disruption is going to lead to cargo being diverted and that is problematic for us in Canada.” ’Growing desire...to bring stability’ Among the recommendations in the report authored by Ready and Amanda Rogers, both labor arbitrators, are preserving the right to strike or lock out workers, but at the same time strengthening the role of mediators and formalizing a British Columbia-wide labor bargaining unit, all with the goal of creating greater supply chain certainty following years of disruption of transport networks. In 2024, Canada’s transportation and warehousing sector experienced the greatest number of “person days not worked” due to work stoppages since 1966, according to a report by the Railway Association of Canada. The report noted that Canada has consistently ranked as one of the countries with the highest number of days lost to work stoppages relative to employment levels, according to the OECD. “There is growing desire in Ottawa to bring stability and see both sides (in the longshore arena) bring differences to closure quicker and with less impact on the GDP,” said a knowledgeable observer of the port sector. The backdrop is a radical course correction led by Carney to reduce dependence on US trade. In response to multiple waves of tariffs imposed on Canada by the Trump administration, Carney set a goal of doubling Canadian exports to countries other than the US within the next decade. The US share of Canadian goods exports fell 4.2 percentage points to 71.7% last year compared to 2024, the lowest share since the early 1980s, according to government statistics. That pivot is the backdrop to other key recent developments, including the Contrecoeur container terminal moving forward outside Montreal after years of being stalled, and a deal announced last week by Global Container Terminals (GCT) and the Vancouver Fraser Port Authority (VFPA) to explore joint development and operation of Roberts Bank Terminal 2, a major potential port expansion. And just days ago, plans were revealed for a 200,000-TEU container terminal along the St. Lawrence in Quebec City. The need to ensure supply chain stability to facilitate the pivot away from US dependence has emerged as a national priority for Canada. Maritime employers are aligning themselves with that priority, which is reflected in the labor law consultation, as they head into negotiations with the Canadian division of the International Longshore and Warehouse Union (ILWU) this fall. “When waterfront operations are predictable and reliable, the entire supply chain benefits, from workers and employers to Canadian businesses and global trading partners,” Eric Waltz, GCT president and chair of the British Columbia Maritime Employers Association board, said in a statement . Contact Peter Tirschwell at peter.tirschwell@spglobal.com .

Supply chain

Marine terminals

Longshore labor

Canadian review of labor laws linked to hoped-for longshore peace, US diversification

<div class="phx-topic abstract-wrapper">The chairman of the US maritime regulator said the agency could act against ocean carriers or foreign-flag ships should the IMO’s Marine Environment Protection Committee take further steps to adopt its plan to reduce emissions from shipping. </div>

The chairman of the US maritime regulator said the agency could act against ocean carriers or foreign-flag ships should the IMO’s Marine Environment Protection Committee take further steps to adopt its plan to reduce emissions from shipping.

<div class="phx-topic">Federal Maritime Commission (FMC) Chairman Laura DiBella is reiterating US opposition to proposed international rules for reducing greenhouse gas emissions, saying she will use the agency’s enforcement powers to block any move that would increase costs for US shippers. DiBella said in a statement late Monday she will attend this week’s meeting in London of the International Maritime Organization’s (IMO’s) Marine Environment Protection Committee (MEPC). The meeting includes a session on adopting rules for reducing shipping’s carbon emissions under the <a href="https://www.joc.com/article/imo-punts-on-pivotal-net-zero-shipping-regulation-6099141">IMO’s proposed “net-zero” framework</a> (NZF). The Trump administration has made clear its opposition to the net-zero framework, even <a href="https://www.joc.com/article/us-pulls-out-of-imo-climate-talks-threatens-retaliation-for-emissions-fees-5980359">threatening to leave the IMO due to the issue</a>. DiBella said she will be “reinforcing” that message during her trip. “The NZF is an unnecessary tax on US shippers and vessels operating in international waters,” she said. “The NZF would cost the maritime industry billions of dollars annually. As the largest consumer of imported goods, these costs will be directly passed onto US consumers.” The NZF aims to set global standards for shipping’s carbon emissions and create a greenhouse gas pricing mechanism for ocean carriers to sharply reduce emissions by 2050. The NZF took a big step forward with the formal adoption of <a href="https://www.joc.com/article/imo-sets-out-path-to-decarbonize-shipping-after-contentious-climate-talks-5982209">a two-tier pricing mechanism at the April 2025 MEPC meeting</a>. The US delegation walked out of the last MEPC meeting in October when heavy pressure from the US forced the group to delay adoption of the net-zero framework for one year, until MEPC’s meeting this November. DiBella said the FMC could act against ocean carriers or foreign-flag ships should the IMO take further steps to adopt the NZF. “If unfavorable shipping conditions are found, the FMC can take remedial steps, including imposing fines and barring foreign-flag vessels from calling at US ports,” the statement said. “In defense of US shippers, [I have] explained to IMO member countries that the NZF will have an anticompetitive and inflationary effect on the global economy.” Contact Michael Angell at <a href="mailto:michael.angell@spglobal.com">michael.angell@spglobal.com</a>.</div>

Federal Maritime Commission (FMC) Chairman Laura DiBella is reiterating US opposition to proposed international rules for reducing greenhouse gas emissions, saying she will use the agency’s enforcement powers to block any move that would increase costs for US shippers. DiBella said in a statement late Monday she will attend this week’s meeting in London of the International Maritime Organization’s (IMO’s) Marine Environment Protection Committee (MEPC). The meeting includes a session on adopting rules for reducing shipping’s carbon emissions under the IMO’s proposed “net-zero” framework (NZF). The Trump administration has made clear its opposition to the net-zero framework, even threatening to leave the IMO due to the issue . DiBella said she will be “reinforcing” that message during her trip. “The NZF is an unnecessary tax on US shippers and vessels operating in international waters,” she said. “The NZF would cost the maritime industry billions of dollars annually. As the largest consumer of imported goods, these costs will be directly passed onto US consumers.” The NZF aims to set global standards for shipping’s carbon emissions and create a greenhouse gas pricing mechanism for ocean carriers to sharply reduce emissions by 2050. The NZF took a big step forward with the formal adoption of a two-tier pricing mechanism at the April 2025 MEPC meeting . The US delegation walked out of the last MEPC meeting in October when heavy pressure from the US forced the group to delay adoption of the net-zero framework for one year, until MEPC’s meeting this November. DiBella said the FMC could act against ocean carriers or foreign-flag ships should the IMO take further steps to adopt the NZF. “If unfavorable shipping conditions are found, the FMC can take remedial steps, including imposing fines and barring foreign-flag vessels from calling at US ports,” the statement said. “In defense of US shippers, [I have] explained to IMO member countries that the NZF will have an anticompetitive and inflationary effect on the global economy.” Contact Michael Angell at michael.angell@spglobal.com .

FMC’s DiBella brings anti-‘net-zero’ message to IMO London meeting

<div class="phx-topic abstract-wrapper">Some ships have been forced to bunker at alternative ports, but the war-driven energy shock hasn’t yet impacted the deployment of tonnage, ocean carriers said at an industry event in Georgia. </div>

Some ships have been forced to bunker at alternative ports, but the war-driven energy shock hasn’t yet impacted the deployment of tonnage, ocean carriers said at an industry event in Georgia.

<div class="phx-topic">Sea Island, Georgia — Container line executives on Tuesday acknowledged that bunker fuel supplies globally are tightening amid the war-driven energy shock, causing congestion at some fuel hubs and forcing some ships to bunker at alternative ports. But they stopped short of saying there were outright fuel shortages that were impacting services. The tighter supplies are requiring more pre-booking work and coordination, but there haven’t been “shortages per se yet,” Fabio Santucci, president of Mediterranean Shipping Co.’s US office, said at the Georgia International Trade Conference. Stuart Sandlin, president of Hapag-Lloyd North America, concurred, adding that while rising fuel costs are a problem, “there weren’t any red flags yet.” Shipping analysts <a href="https://www.joc.com/article/container-shipping-faces-blank-sailings-falling-demand-from-prolonged-iran-war-6208766">have warned</a> that ocean carriers may be forced to blank sailings and even outright cancel services in the coming months if bunker fuel supplies continue to tighten amid the ongoing closure of the Strait of Hormuz, through which 20% of the world’s oil supplies typically transit. For now, the focus for shippers is getting a handle on how much more they’ll be paying for fuel, how those costs are calculated, and how much more energy costs could rise. The roughly doubling of the cost of bunker fuel since the war in the Middle East began in late February has spurred ocean carriers to implement emergency fuel surcharges of hundreds of dollars per container, in addition to raising prices via the quarterly bunker adjustment factor (BAF). Because BAFs won’t reset until July 1, Hapag-Lloyd has so far had to eat the nearly doubling of energy costs, equating to <a href="https://www.joc.com/article/war-adding-40-50-million-per-week-to-hapag-lloyds-costs-ceo-6193532">about $50 million weekly</a>, Sandlin said. “We also [told shippers] that whatever you give us in that emergency fuel surcharge because it’s in the rear, when the fuel price goes down, we will also give you back every ounce of money you paid us in the emergency fuel surcharge,’” Sandlin said. “We’re not looking to double dip on awards.” <h3>No import cuts yet </h3>Ocean carrier executives said they haven’t seen a pullback in US importing since the war began, but noted 2026 would be a challenging year for volume with zero or minimal trade growth expected. US laden imports were down 5.2% year over year in the first quarter, according to PIERS, a sister product of the Journal of Commerce within S&amp;P Global. Still, March imports of 2.33 million TEUs were the highest since last August. <div class="wrapper-narrow"><dynamic-object type="jocchartid" resource-id="ca83526a-50c9-4e3b-b637-6bc435f00c93"></dynamic-object></div>Volumes are holding up currently amid seasonal restocking, with major shipper customers saying they are planning for steady shipments for at least the next three months, Sandlin said. “[However], costs are rising much quicker than the revenues for us on the carrier side, and I think that that’s a little bit of a risk because you’ve got to redeploy your assets to make profitable asset utilization,” he said. “If your services start to not be making a lot of money, then I think you have to look and see what that does for the long-term reliability of your import and export supply chains.” Contact Mark Szakonyi at <a href="mailto:mark.szakonyi@spglobal.com">mark.szakonyi@spglobal.com</a>. </div>

Sea Island, Georgia — Container line executives on Tuesday acknowledged that bunker fuel supplies globally are tightening amid the war-driven energy shock, causing congestion at some fuel hubs and forcing some ships to bunker at alternative ports. But they stopped short of saying there were outright fuel shortages that were impacting services. The tighter supplies are requiring more pre-booking work and coordination, but there haven’t been “shortages per se yet,” Fabio Santucci, president of Mediterranean Shipping Co.’s US office, said at the Georgia International Trade Conference. Stuart Sandlin, president of Hapag-Lloyd North America, concurred, adding that while rising fuel costs are a problem, “there weren’t any red flags yet.” Shipping analysts have warned that ocean carriers may be forced to blank sailings and even outright cancel services in the coming months if bunker fuel supplies continue to tighten amid the ongoing closure of the Strait of Hormuz, through which 20% of the world’s oil supplies typically transit. For now, the focus for shippers is getting a handle on how much more they’ll be paying for fuel, how those costs are calculated, and how much more energy costs could rise. The roughly doubling of the cost of bunker fuel since the war in the Middle East began in late February has spurred ocean carriers to implement emergency fuel surcharges of hundreds of dollars per container, in addition to raising prices via the quarterly bunker adjustment factor (BAF). Because BAFs won’t reset until July 1, Hapag-Lloyd has so far had to eat the nearly doubling of energy costs, equating to about $50 million weekly , Sandlin said. “We also [told shippers] that whatever you give us in that emergency fuel surcharge because it’s in the rear, when the fuel price goes down, we will also give you back every ounce of money you paid us in the emergency fuel surcharge,’” Sandlin said. “We’re not looking to double dip on awards.” No import cuts yet Ocean carrier executives said they haven’t seen a pullback in US importing since the war began, but noted 2026 would be a challenging year for volume with zero or minimal trade growth expected. US laden imports were down 5.2% year over year in the first quarter, according to PIERS, a sister product of the Journal of Commerce within S&P Global. Still, March imports of 2.33 million TEUs were the highest since last August. Volumes are holding up currently amid seasonal restocking, with major shipper customers saying they are planning for steady shipments for at least the next three months, Sandlin said. “[However], costs are rising much quicker than the revenues for us on the carrier side, and I think that that’s a little bit of a risk because you’ve got to redeploy your assets to make profitable asset utilization,” he said. “If your services start to not be making a lot of money, then I think you have to look and see what that does for the long-term reliability of your import and export supply chains.” Contact Mark Szakonyi at  mark.szakonyi@spglobal.com .

Tighter bunker supplies raising costs, but not impacting service: ocean carriers

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